VinFast Auto Ltd. inaugurated its first manufacturing plant outside Vietnam on December 15, 2025, in Subang, Indonesia. The ceremony was attended by officials from both the Indonesian and Vietnamese governments, underscoring the joint commitment to expanding electric‑vehicle production in Southeast Asia.
The Subang facility will assemble the VF 3, VF 5, VF 6 and VF 7 models for the Indonesian market and will also produce electric motorcycles and a commercial electric MPV slated for 2026 sales. The initial investment for the first phase is $300 million, with a total planned investment exceeding $1 billion as the plant scales up to a 350,000‑vehicle‑per‑year capacity from an initial 50,000 vehicles. The expansion is expected to create between 5,000 and 15,000 direct jobs at full capacity and will raise VinFast’s local‑content rate to over 40% by 2026, 60% by 2029, and 80% from 2030 onward.
VinFast’s domestic market share in Vietnam is currently around 27–30% of total vehicle sales in 2025, not the 40% figure previously cited. The Indonesian plant is therefore a strategic move to capture a larger share of the region’s fastest‑growing EV market, where Chinese competitor BYD already dominates sales. By producing right‑hand‑drive vehicles locally, VinFast will reduce logistics costs, meet local content requirements, and accelerate market penetration.
Financially, VinFast reported a net loss of $812 million in Q2 2025, while revenue rose 91.6% year‑over‑year. The company’s aggressive investment in the Subang plant reflects a long‑term growth strategy that prioritizes scale and localization over short‑term profitability. Management emphasized that the plant will serve as a regional hub for right‑hand‑drive markets and will support the company’s broader goal of becoming a leading EV manufacturer in Southeast Asia.
CEO Pham Sanh Chau said, “The Subang plant is a testament to VinFast’s strong execution capabilities and a strategic milestone in our long‑term commitment to Indonesia.” CEO Kariyanto Hardjosoemarto added, “We will continue to increase investment to $1 billion and expand production capacity to 350,000 vehicles per year.” The Indonesian Coordinating Minister for Economic Affairs, Airlangga Hartarto, highlighted the plant’s alignment with the country’s green industrial agenda and its potential to boost local employment and industrial ecosystem development.
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